REG - Xtract Resources plc - New Porphyry Copper System at Bushranger Project

Xtract ResourcesAnnouncement

09/12/2021 14:55

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RNS Number : 1744V  Xtract Resources plc  09 December 2021

 

For immediate release

09 December 2021

 

Xtract Resources Plc

("Xtract" or the "Company")

New Porphyry Copper System Discovered on the Bushranger Project

 

The Board of Xtract Resources Plc ("Xtract" or the "Company") is very pleased
to report the discovery of a new copper mineralised porphyry system on the
Bushranger copper-gold exploration project. The discovery has been made by
drilling an Induced Polarisation ("IP") geophysical anomaly undertaken as part
of the ongoing Phase 2 diamond drilling programme.

 

Highlights

 

·    Two drill holes have intersected a new copper mineralised porphyry
system associated with an IP geophysical anomaly generated by the Company
during the period between the Phase 1 and Phase 2 drilling programmes

·    The new discovery, located 1.5km to the south-east of the boundary of
the Racecourse Inferred Mineral Resource, has been named the "Ascot" prospect,
with follow-up drilling already under way

·    Based on preliminary logging, hole BRDD-21-033, which was angled to
the east, intersected a long interval of alteration and sulphides. Traces of
copper mineralisation extended from a down hole depth of 85m until the end of
hole at 783.7m, a total interval of 698.7m. This included a zone of stronger
visible chalcopyrite and pyrrhotite mineralisation over a 110m interval from
670m downhole depth.

·    Follow-up hole BRDD-21-035, drilled from the same pad towards the
west, confirmed the new discovery. Preliminary logging recorded traces of
copper mineralisation from 60m downhole to the end of hole at 740.3m, with two
zones of stronger visible copper mineralisation over intervals of 113m from
179.4m depth and 128m from 554m depth

·    Laboratory assays will be required to determine the intervals of
potentially economic grade for BRDD-21-033 and BRDD-21-035

·    The mineralisation intersected in these two holes explains the IP
anomaly in the area of the Ascot discovery, and further drilling is planned to
test the larger cluster of anomalous IP signatures in the south-eastern area
of the Bushranger prospect (Refer RNS 13 October 21)

 

Colin Bird, Executive Chairman said: "This is an exciting new discovery, and
the team should be complimented for making such a discovery in an established
geological setting. Based on preliminary logging and subject to laboratory
assays, holes BRDD-21-033 and 035 represent two very meaningful intersections,
similar to the main Racecourse deposit. The intention now is to test for
up-dip mineralisation and to establish strike direction with a view to
building up a further mineral resource at Ascot. We have also commenced a new
hole to test another geophysical anomaly separate from Racecourse and Ascot."

 

Bushranger Phase Two Drilling Update - Drill Hole BRDD-21-033

Drill hole BRDD-21-033 was drilled at an inclination of -70 degrees towards to
the east and was completed at a final depth of 783.7m. The hole is situated
1.5km to the south-east of the main Racecourse Inferred Mineral Resource and
is the first hole drilled into the south-eastern IP anomaly. The hole
intersected extensive porphyry-type alteration and iron sulphides, with traces
of chalcopyrite mineralisation at 85m down hole depth until the end of hole, a
total interval of 698.7m, which included a stronger intersection of
chalcopyrite and pyrrhotite mineralisation over a 110m interval from 670m
downhole. This new discovery to the south-east of the Racecourse porphyry has
been called the "Ascot" prospect.

Drill hole BRDD-21-035 was the first hole drilled to follow up the new Ascot
discovery and was drilled towards the west at an inclination of -60 degrees
from the same drill pad as the discovery hole. Preliminary logging recorded
traces of copper mineralisation from 60m downhole to the end of hole at
740.3m, with two zones of stronger visible copper mineralisation over
intervals of 113m from 179.4-292m depth and 128m from 554-612m depth.

The mineralisation and wide intervals of alteration intersected in these two
holes at the Ascot prospect display very similar characteristics to that
observed at the Racecourse Inferred Mineral Resource and the company intends
to model the structural information available in these holes to define the
potential strike continuity of the Ascot prospect in follow-up drilling.
Laboratory assays will be required to determine the intervals of potentially
economic grade for BRDD-21-033 and BRDD-21-035

The Ascot IP anomaly forms part of a larger cluster of anomalous IP signatures
in the south-eastern area of the Bushranger prospect and further drill holes
are planned to test these anomalies as part of the Phase 2 diamond drilling
campaign (Refer RNS 13 October 21).

The company is pleased to include a link to some photographs of the copper
mineralisation from drill holes BRDD-21-033 and BRDD-21-035.

 

Bushranger Prospect Drill Hole Location Plan

http://www.rns-pdf.londonstockexchange.com/rns/1744V_1-2021-12-9.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1744V_1-2021-12-9.pdf)

 

Photo 1: BRDD-21-035 Pyrrhotite and chalcopyrite mineralisation in drill core
at 606.5m depth

http://www.rns-pdf.londonstockexchange.com/rns/1744V_2-2021-12-9.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1744V_2-2021-12-9.pdf)

 

Photo 2: BRDD-21-035 Pyrrhotite and chalcopyrite mineralisation in drill core
at 642.5m depth

http://www.rns-pdf.londonstockexchange.com/rns/1744V_3-2021-12-9.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1744V_3-2021-12-9.pdf)

 

Photo 3: BRDD-21-033 Chalcopyrite-pyrrhotite mineralisation within quartz vein
in drill core at 751.4m depth

http://www.rns-pdf.londonstockexchange.com/rns/1744V_4-2021-12-9.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1744V_4-2021-12-9.pdf)

 

 

Further information is available from the Company's website which details the
company's project portfolio as well as a copy of this
announcement: www.xtractresources.com

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018 ("UK MAR").

 

The person who arranged for the release of this announcement on behalf of the
Company was Colin Bird, Director.

 

 

Enquiries:

 

 Xtract Resources Plc                               Colin Bird,          +44 (0)20 3416 6471

                                                    Executive Chairman   www.xtractresources.com (http://www.xtractresources.com)

 Beaumont Cornish Limited                           Roland Cornish       +44 (0)207628 3369

 Nominated Adviser and Joint Broker                 Michael Cornish      www.beaumontcornish.co.uk (http://www.beaumontcornish.co.uk)

                                                    Felicity Geidt

 Novum Securities Limited                           Jon Belliss          +44 (0)207 399 9427

 Joint Broker                                       Colin Rowbury        www.novumsecurities.com

 

 

 

 

Qualified Person:

Information in this announcement relating to the exploration works has been
reviewed by Edward (Ed) Slowey, BSc, PGeo, a consultant to Xtract. Mr Slowey
is a graduate geologist with more than 40 years' relevant experience in
mineral exploration and mining, a founder member of the Institute of
Geologists of Ireland and is a Qualified Person under the AIM rules.  Mr
Slowey has reviewed and approved the geological content of this announcement.

 

Qualified Person:

In accordance with AIM Note for Mining and Oil & Gas Companies, June 2009
("Guidance Note"), Colin Bird, CC.ENG, FIMMM, South African and UK Certified
Mine Manager and Director of Xtract Resources plc, with more than 40 years'
experience mainly in hard rock mining, is the qualified person as defined in
the Guidance Note of the London Stock Exchange, who has reviewed the technical
information contained in this press release.

 

 

TECHNICAL GLOSSARY

The following is a summary of technical terms:

 

 "Ag"                         Silver
 "Au"                         Gold
 "Chalcopyrite"               A copper-iron sulphide mineral, CuFeS(2), often found in copper ores.
 "Cu"                         Copper
 "CuEq"                       Copper equivalent grade, calculated using assumed metal prices for copper,
                              gold and other metals
 "Induced Polarisation (IP)"  A method of ground geophysical surveying which employs the passing of an
                              electrical current into the ground to test for indications of conductive
                              metallic sulphides

 "Inferred Mineral Resource"  That part of a Mineral Resource for which quantity and grade (or quality) are
                              estimated on the basis of limited geological evidence and sampling. Geological
                              evidence is sufficient to imply but not verify geological and grade (or
                              quality) continuity. It is based on exploration, sampling and testing
                              information gathered through appropriate techniques from locations such as
                              outcrops, trenches, pits, workings and drill holes
 "mineralisation"             Process of formation and concentration of elements and their chemical
                              compounds within a mass or body of rock
 "porphyry"                   A deposit of disseminated copper minerals in or around a large body of
                              intrusive rock
 "Pyrite"                     Iron sulphide mineral, FeS2
 "Pyrrhotite"                 An iron sulphide mineral, Fe(1-X)S, often magnetic

ENDS

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